EU Commission President Jose Manuel Barroso’s Speech At China National School of Administration
Beijing, 23 October 2008
Ladies and gentlemen,
I am delighted to be back in Beijing for the 7th ASEM Summit and to be given this opportunity to address this important school that nurtures your nation’s leaders of tomorrow. I am particularly pleased since the European Commission has had the opportunity to support this school.
But let me begin by commending you all for the successful Olympic Games. These Games brought today’s China into homes around the world. It is a vivid picture of a dynamic society undergoing tremendous change. It is a picture that those who were able to attend the Games will carry with them forever. I am convinced that the Games brought the world and China closer together. This is something we should build on for the future.
As you all know, we live in dynamic, and sometimes even dramatic, times. I will try to outline some of the main challenges ahead of us-and how they can be met through increased cooperation, as China and the EU have a very important word to say in the way we can, collectively, find global solutions for global problems.
In the last month we have witnessed a financial crisis on a scale not seen for many decades. We have seen stock-markets plummet and banks taken over by national governments. Hard-earned savings have disappeared; well-known institutions have ceased to exist overnight.
The financial crisis has shown how interdependent we have become. What began as a seemingly isolated issue with sub-prime loans in the United States a year ago gradually spread, showing once again that in the world economy of today, markets and investments know no boundaries.
The handling of the crisis has demonstrated that we need more and better long term coordination to ensure transparency and confidence in the market. In order to cushion the impact of the financial crisis on the real economy, we also need to sustain domestic demand and to further promote international trade. Here China’s contribution to world economic activity is crucial.
We believe that this crisis was not only about the problems of some financial institutions. The crisis also shows the risks of some macroeconomic imbalances and point to problems with the fundamentals of the global economy.
On the European side we have taken a number of decisive steps to overcome the financial crisis. The European Union, through the coordinated action of its institutions, Governments and Central Banks, has reacted promptly and firmly, devoting very large amounts of money to restore the confidence of the public, protect deposits and reestablish the flows of interbank loans. The European Union has also taken a leading role on the world stage, partly by calling for stronger international cooperation, but also by setting an example and showing to the world what concrete actions can be taken.
Together with President Sarkozy of France, the current President of the European Council, I went last weekend to Camp David. There, we have agreed with the President of the United States on the need to call an international summit to solve the crisis in today’s global economy. I believe it is very important that China and others give a significant contribution in the process to be launched in Washington on 15 November. As we stated in the joint statement we – President Bush, President Sarkozy and I – issued at Camp David, this summit must review progress being made to address the current crisis and seek agreement on principles of reform needed to avoid a repetition and assure global prosperity in the future.
I repeat. The role of China in these circumstances is crucial. Premier Wen Jiabao recently declared at World Forum in Tianjin that the main responsibility of China is to maintain for itself steady and stable economic growth. I very much agree.
In 1997/1998, during the Asian financial crisis, we worked together to overcome it. Now, once again, we need a concerted effort from governments and central banks worldwide. It is good that China has taken the initiative in proposing that this matter be discussed at our ASEM summit tomorrow.
This greater interdependence is not limited to the financial sector. The new challenges of today are global in nature and therefore, they demand a global response. This applies to issues such as climate change, energy security, terrorism prevention, trafficking and organized crime.
We can no longer meet these challenges by closing the door and simply looking after our own house. Instead, we must reach out and seek cooperation, wherever cooperation is more effective.
The world is currently witnessing the broadest and deepest wave of globalization ever producing great opportunities but also some risks. Globalisation has helped hundreds of millions from poverty and provided businesses with the possibility to invest and expand abroad. But those same businesses know that they can no longer live on past achievements. Workers around the world fear for their jobs. Globalisation increases competition and exposes weaknesses and poor commercial decisions.
When we speak of globalization, it is important to understand that openness and interdependence are the rules of the game. That is why we are so strongly in favour of a truly multilateral approach.
These challenges cannot be solved by protectionism, isolation and economic nationalism. We must continue to strive for open and inclusive societies and for open and modern economies.
Ladies and Gentlemen,
The EU is a successful example of regional cooperation. From a region plagued by war, the EU has now grown to 27 Member States, bringing together in peace 500 million people throughout Europe.
Let me give you a few examples of how the EU has developed over the last two decades.
 The EU is a single and dynamic market of half a billion people, using the euro – one of the world’s two most important currencies.
 The EU is a credible partner willing to share the burden of leadership, while welcoming new partners to the table.
 The EU is a growing peace and security actor, with nearly 100,000 peacekeepers, police and combat troops deployed. We have sent troops, police, magistrates and other staff to more than 15 trouble spots, including in the Balkans, Moldova, Afghanistan, the Palestinian territories, Central Africa, Aceh and Georgia.
 The EU is the world’s largest development aid donor, delivering over 60% of international assistance.
During the same period, the world has witnessed China’s spectacular development. Hundreds of millions have been lifted from the infernal cycle of poverty and underdevelopment, and today China can look to her future with confidence and pride.
Since its beginnings, the EU has actively supported China’s opening up and reform policy. We have opened European markets and our companies helped your economic revitalization and employment in China, as well as by transferring technology and know-how through our investments. We have an active and vibrant European business community in China.
We have developed cooperation in all fields: from scientific research to education, from energy to the environment, from transportation to tourism, and in many other areas. We have supported China’s accession to the WTO and have welcomed China’s increasingly important role in various international organizations. In other words, we have demonstrated through our policies and actions, our interest in and support for your stability, prosperity and success. We will continue to engage in China’s development, just as we wish for China itself to become more and more engaged in global affairs, in a way that reflects China’s growing global position.
Our bilateral dialogue on human rights ser

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